UNTERFÖHRING (dpa-AFX) - ProSiebenSat.1 will show fewer series and films from the USA and will instead focus on locally produced content. The proportion of US licensed content will be reduced in favor of local formats, the media group announced on Tuesday in Unterfohring near Munich. This marks the end of a long-standing practice of long-term license agreements with Hollywood studios. At the same time, the company will continue to buy US licensed content on a selective basis.

According to the listed company, the move means an impairment of up to EUR 250 million on programming assets and a provision for onerous contracts for the acquisition of future programming assets of up to a further EUR 90 million. The Group assured that both special effects would have no impact on the adjusted key figures in 2023. There would also be no change in net financial debt. ProSiebenSat.1 intends to focus even more strongly on exclusive local content next year. Accordingly, programming expenses will increase by around EUR 80 million to around EUR 1.05 billion. This will benefit the streaming platform Joyn, as well as the prime time TV programs of Sat.1 and ProSieben.

In recent decades, US content with series or films has often been a core component of the programming of private broadcasters in Germany. The USA is still regarded as a place where program trends emerge. In this country, it has recently been observed that public and private television and streaming providers as well as global streaming providers are increasingly focusing on local content in their respective markets.

According to the Group, the additional programming investments will have a negative impact on adjusted earnings before interest, taxes, depreciation and amortization (adjusted EBITDA) in the Entertainment segment in 2024. However, the Group emphasized that the segment's growth will be strengthened in the long term and digitization will be accelerated.

ProSiebenSat.1 expects advertising revenues to recover slightly in 2024. Overall, the company expects an increase in total consolidated revenues and stable EBITDA development (adjusted) compared to 2023. According to the MDax company, this year adjusted EBITDA will be at the lower end of the range of EUR 600 million plus/minus EUR 50 million and Group revenues slightly below the target range of EUR 4.1 billion plus/minus EUR 150 million./rin/DP/he